This study analyses the global radio frequency identification (RFID)
market in the retail industry. As awareness of the technology has been
growing among retailers, RFID is expected to have greater traction. The
market for RFID in retail is expected to grow at a compound annual
growth rate (CAGR) of 38.9% between 2013 and 2020.

This study focuses on the market trends and challenges, along with the
factors that drive the growth of the market. The three segments-tags,
hardware, and middleware-are detailed with revenue forecast discussions.
It also provides country-specific information along with a penetration
analysis. The base year is 2013, and forecasts are provided till 2020.

Historically, the adoption of radio frequency identification (RFID)
technology in the retail industry has been slower than expected. Low
awareness levels about return on investment (ROI), skepticism, and
concerns regarding privacy were among the key challenges for RFID
adoption.

During the past year, retailers slowly started to witness the benefits
in particular business cases for RFID use. Hence, the future of RFID
adoption looks bright.

Rising interests in omni-channel retailing lays greater emphasis on
efficient inventory management, loss prevention, and shrinkage. Hence,
omni-channel retailing is and will continue to be the key driver for
RFID adoption.

Growing interest in item-level tagging is expected to drive demand for
tags in the retail industry. Applications such as inventory management,
loss prevention, and customer behavior understanding are expected to
augur well for the growth of RFID.

Apparel constitutes the major share of the total RFID market in retail.
Other growth areas include footwear, perishables, jewellery, and
personal care.

North America and Europe are expected to contribute to the short-term
growth prospects while Latin America and Asia contribute to long-term
growth prospects.